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Computer With UK Bank Customer Data Sold On eBay

Walpurgiss tips a BBC News story about a man in Oxford who paid $140 for a computer on eBay, and was shocked to find on it bank records of several million customers of the Royal Bank of Scotland, its subsidiary Natwest, and one other bank. "Mr. Chapman said anyone with a basic knowledge of computer software would have been able to find the data fairly simply. 'The information was in back-up CDs and in ISO files so it would have been possibly quite easy to find...,' he said."

48 of 184 comments (clear)

  1. Honesty by Enderandrew · · Score: 5, Insightful

    Kudos for him for speaking up rather than trying to abuse the situation.

    --
    http://blindscribblings.com - Tasty pop-culture in conceptual fashion.
    1. Re:Honesty by PunkOfLinux · · Score: 5, Insightful

      Agreed, although we shouldn't be forced to think that doing the right thing is so rare that we must laud it.

      Still, good job.

    2. Re:Honesty by Brian+Gordon · · Score: 2, Insightful

      Yeah I'm sure he'll be thanked for his trouble.. with a pair of handcuffs and a hood..

    3. Re:Honesty by cayenne8 · · Score: 2, Funny
      Hell, even better, why doesn't he turn around and resell the stuff on eBay?

      I'm sure he could raise a pretty penny for all that info.....

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    4. Re:Honesty by Anonymous Coward · · Score: 5, Interesting

      "Always do good. It will gratify some and astonish the rest." ~Mark Twain

    5. Re:Honesty by ObsessiveMathsFreak · · Score: 2

      Indeed. Naturally however, he will now be sued by BoS for his trouble.

      --
      May the Maths Be with you!
    6. Re:Honesty by Dekortage · · Score: 5, Funny

      Man: "Look, I found eight million customer records on here!"

      Bank tech: "That's weird, we always stored ten million records in those databases..."

      Man: "Huh, no idea what happened to those other two million." (hides batch of CDs) "I can't believe you guys sold 8 million customer records on eBay!"

      --
      $nice = $webHosting + $domainNames + $sslCerts
    7. Re:Honesty by Jimbob+The+Mighty · · Score: 4, Insightful

      No, given that the computer will be seized by the police as evidence in some sort of criminal case, somebody owes him a computer, as well as their thanks and a pat on the back.

    8. Re:Honesty by coachellamasada · · Score: 2, Insightful

      Kudos for him for speaking up rather than trying to abuse the situation.

      Kudos indeed for bringing it to light to publicly shame them, but really, unless he had solid ties to the Russian mob how would he abuse the situation?

      It's not like he found a bag of money lying in the street... Most folks wouldn't know what to do with this kind of database (or at least, how not to quickly get caught when exploiting it.)

    9. Re:Honesty by The+Great+Pretender · · Score: 4, Funny
      Man: "Look, I found eight million customer records on here!"

      Bank tech: "That's weird, we always stored 7 million records in those databases..."

      Bank tech2: "Funny I thought it was 12 million..."

      Bank tech3: "What are records?"

      Bank tech4: "Hey, didn't I just decommission that laptop using that online eBay-thingy service?"

      --
      A positive attitude may not solve all your problems, but it will annoy enough people to make it worth the effort.
    10. Re:Honesty by larien · · Score: 2, Informative
      Doubt it. BoS (I assume you mean Bank Of Scotland) won't as it was information from RBS (Royal Bank of Scotland Group) which was lost. As far as I've heard, there hasn't been any sueing going on anyway.

      The worst part is that RBS didn't atually have a breach, it was a 3rd party. That, of course, could well lead to someone getting sued.

  2. I guess RBS stands for... by volxdragon · · Score: 4, Funny

    ...Really Bad Security instead of Royal Bank of Scotland.

    1. Re:I guess RBS stands for... by larien · · Score: 2, Interesting

      Except it wasn't them who lost the data, although what a 3rd party was doing with all those records I'm not sure.

  3. I got records from @home from an ebay purchase by jkinney3 · · Score: 5, Interesting

    I bought a pair of SGI Origin 200 machines that contained names, credit cards, and enough data to be a real problem for many thousands of people. The labels on the machines listed them as from @home which had closed their doors. I did the dd if=/dev/zero dance and reinstalled IRIX.

    1. Re:I got records from @home from an ebay purchase by ScrewMaster · · Score: 3, Insightful

      Some twenty years ago, back when those orange plasma displays were popular, a girl I used to work with said she'd gotten hold of some Compaq portables, and would I want to buy one? She was only asking a couple hundred bucks (I believe they cost several thousand new at the time.) So I stopped by to take a look, thinking I could really use a machine like that. That line of thought lasted right up until the system finished booting and a custom menu appeared with legend of a major national bank across the top. Given the price and the data on them, I figured they were hot (I asked what truck they'd fallen out of) and declined to buy one.

      That was then, now we're in the Age of the World Wide Web, and there's just no excuse whatsoever for loading down a portable (read: easily stolen) computer system with vast quantities of confidential data. In fact, that really ought to be a law with few exceptions: customer and personal data must be stored on a server that is both physically and electronically protected. Period.

      --
      The higher the technology, the sharper that two-edged sword.
    2. Re:I got records from @home from an ebay purchase by Guido+von+Guido · · Score: 2, Insightful

      In fact, that really ought to be a law with few exceptions: customer and personal data must be stored on a server that is both physically and electronically protected. Period.

      Servers get decommissioned, too. All that protection isn't going to help if they screw up and leave unencrypted data on their drives. Decommissioned hardware may certainly get used again, depending on how it was disposed of. I'm aware of one company that disposes of hardware--they recycle some parts and sell others. (I believe they require their customers to scrub the data before they throw it out.)

      For instance, I have a customer in an industry where that would be bad (which doesn't narrow things down, I admit). I was helping them with some server consolidation, and they wanted some recommendations on wiping the disks. I suggested physically destroying the disks. They didn't like that--apparently the disks (and everything else) were leased.

      Standards for encrypting the data and for data disposal might help.

    3. Re:I got records from @home from an ebay purchase by zappepcs · · Score: 4, Informative

      Yes, you could do that, but I think that erasure and encrypting the whole drive will also accomplish this. I believe that there is still a possibility of recovering the data even if wiped over several times. You can find lots of information about this on 'the Google' if you like. Here is a link to a zdnet blog about it: http://blogs.zdnet.com/storage/?p=129

      If you can simply smelt the drives, that is complete destruction. Anything else depends on the level of 'it's not there anymore' you need. Far too many people don't care or believe their data can be used from an old disk. They also don't understand that a format will not necessarily overwrite anything on the drive. sigh.

      Encrypting the whole drive will scramble the bits fairly well. Follow up with low level formatting and it should be difficult enough to recover anything from the drive without the encryption password, never mind that the file system has been rewritten.

    4. Re:I got records from @home from an ebay purchase by XanC · · Score: 2, Interesting

      Why would you encrypt when you could just write randomness?

      10 write zeros.
      20 write randomness.
      30 GOTO 10 (as many times as you like)

  4. paid $140 for a computer on eBay by flaming+error · · Score: 4, Funny

    Somebody should have set a much higher reserve price.

    1. Re:paid $140 for a computer on eBay by smoker2 · · Score: 3, Funny

      £77 is how much it cost including ebay fees and paypal !

  5. it's all an equation by ILuvRamen · · Score: 2, Insightful

    If you're dumb enough to make a backup CD and then save the ISO onto the hard drive just in case the hard drive crashes, you're dumb enough to sell it on ebay without wiping it. I suppose this could have been some sort of backup storage server and not the computer that actually contained the data to be backed up but for that price it's a little unlikely.

    --
    Google's Super Secret Search Algorithm: SELECT @search_results FROM internet WHERE @search_results = 'good'
    1. Re:it's all an equation by BLAG-blast · · Score: 4, Insightful

      Dummy says dummy...

      They made an ISO, made 3 CDs of each ISO (one for the filing cabinet, one for off site back up, one for the on site safe), then didn't both deleting the ISOs...

      It's dumb, but not as dumb as your ideas.

      --
      M0571y H@rml355.
  6. Re:Wait... what!? by DarthJohn · · Score: 2, Insightful

    The thief who stole it?

  7. Hand it back? by Mishotaki · · Score: 5, Interesting

    So in the article, they say that they expect him to hand "it" back.. does that means that the poor guy who paid 77£ to give back the computer for free?

    Personally i'd charge a hefty sum to make them get back that computer, just to make them remember that he paid and he was nice enough to tell them.

    1. Re:Hand it back? by timmarhy · · Score: 3, Interesting
      i'd charge the pricks a consulting fee for my time. a few grand should cover it. i certainly wouldn't be handing back what is entirely his property, since he purchased it fair and square they have no recourse.

      mind you in his day and age i wouldn't be suprised if he ends up in jail for his honesty, if it was me i wouldn't be saying anything. if i was a more desperate man i might even have sold those details online for a princely sum....

      --
      If you mod me down, I will become more powerful than you can imagine....
    2. Re:Hand it back? by MichaelSmith · · Score: 5, Insightful

      i'd charge the pricks a consulting fee for my time. a few grand should cover it. i certainly wouldn't be handing back what is entirely his property, since he purchased it fair and square they have no recourse.

      Do that and you go straight to jail, don't pass go, don't collect $200. Your consulting fee will be seen as extortion.

    3. Re:Hand it back? by carlzum · · Score: 2, Insightful

      I was going to say the same thing. You'd think he would get a premium to encourage people to come forward in the future. If people are worried they'll be under suspicion or have their equipment taken away, why would they do the right thing? The honest ones will trash the data. If other systems were sold off in the lot it may be discovered too late.

    4. Re:Hand it back? by timmarhy · · Score: 4, Insightful
      it's my property, how can i extort someone when they WANT to purchase something i own? by that logic every service fee ever paid on new car sales is extortion.

      now if i went to them and said "pay me or i'll tell the media what retards your IT security guys are" that's extortion. but since it's already all over the news sites it's not possible to call it extortion.

      it's also pretty damn cheeky (and just the thing i'd expect from a bank) to expect him to just hand back his purchase.

      this would in fact be an interesting case to test in court as to who owns data when you purchase a pc. no doubt IP lawyers would be foaming at the mouth saying your buying hardware not software (that might shoot some of their, but then this isn't software but plain data which they didn't license so he'd have a reasonable expectation that it came with the sale.

      --
      If you mod me down, I will become more powerful than you can imagine....
    5. Re:Hand it back? by Schnoodledorfer · · Score: 2, Insightful

      Extortion for what? He bought the system and all of the items with it legally. By most laws, that data is physically located on his property, and is legally his to do with what he wants. The inadvertent sale is not his fault; it's pretty much akin (I would think; IANAL) to being sold a house with $25,000 in the attic.

      IANAL, and I'm on the wrong side of the Atlantic, but TFA mentioned a Data Protection Act. Aspects of it may well apply to anyone in possession of the data. It may well have be stolen property, too. The article gives no indication one way or another, nor did it identify the seller. It could be that no one wants to make an accusation until facts are known.

      There is actually very little to go on from that article. The reporter seemed to know little more than that some spokesmen, who didn't seem to known much themselves, had said some PR-type stuff. The reporter even managed this gem:

      The Information Commissioner's Office said an investigation would be launched as soon as Mr Chapman had handed the computer in to them.

      A spokeswoman said: "We are now investigating this potential data breach...

      Beyond the timing, who does "them" refer to? Graphic Data or the Information Commissioner's Office? The article certainly wasn't clear about that, either.

      --
      Knowledge is the small part of ignorance that we arrange and classify. (Ambrose Bierce)
  8. Re:Wait... what!? by YrWrstNtmr · · Score: 2, Insightful

    Once again I am reminded of the boundlessness of human stupidity.

    2 or more departments in the chain, that don't talk to each other.

    IT, who removes it from the desk or floor. They are 'supposed' to wipe it. They don't, for whatever reason.
    Disposal dept, gets a stack of random PC's to dispose of. "IT", according to policy, was supposed to have sanitized them, so Disposal never powers them up to check (doesn't have the time or resources).
    Result - PC with sensitive CD still in the drive gets sold.

  9. Taking bets! by RyoShin · · Score: 4, Insightful

    How many days do you think it will be before the government tries to charge him with something or the bank in question tries to sue him? I'd be pleasantly surprised if neither happened.

    Also, the summary leaves out something that might affect those of us on the other side of the pond:

    A spokeswoman for the third company reported to be involved, American Express, said it took the security of its card members' data "extremely seriously".

    Bold mine. I know they have different branches for countries and such, but I wonder if any of this data crossed international bounds.

  10. Goodwill by gnu-sucks · · Score: 4, Interesting

    I bought a sun box at goodwill once and besides an intact customer database for several large companies, it also had the admin's personal backup files, including his "My Documents" folder, his Palm cell phone, and 1200 dpi scans of his passport. Oh, and some file called "passwords.doc". No idea what is in there...

    More details here:
    http://lfnet.net/blog/?p=41

    But yeah... wipe it before you get rid of it.

    1. Re:Goodwill by Ghworg · · Score: 2, Insightful

      Never mind wiping it, this stuff should never be stored unencrypted in the first place.

  11. Bugger.... by s0litaire · · Score: 4, Funny

    I was just going to pick up a cheep 1U server for a Mod Project! Now i've no chance! Everyone will be buying up every server hoping for Disks full of Banking details now!! :(:(

    --
    Laters Sol "Have you found the secrets of the universe? Asked Zebade "I'm sure I left them here somewhere"
  12. Re:outbid by MichaelSmith · · Score: 3, Insightful

    Oh, crap.. i was outbid by £10. If only i knew the content..

    Why? He is going to lose the system and runs the risk of being locked up as a thief. I would say you doged a bullet (unless you are joking).

  13. Re:Wait... what!? by Zaiff+Urgulbunger · · Score: 4, Insightful

    You might not have seen the video clip with the article [I don't know if it's visible outside the UK] but the guy said he bought two servers, one booted and had been wiped, the other didn't boot. It didn't boot because it was missing it's ram (or the chip was unseated), so anyway, he sorted that out, booted it up and found the data.

    Soooo... one wonders if the machine didn't get wiped simply because the various techs could boot it and decided it was too much effort to move the drives to another machine?

  14. Its stupid, but understandable by PPH · · Score: 2, Interesting

    Its tough to sell a machine with no O/S on it. Most buyers will take one look at the retail price of XP (for example) and subtract that from their eBay bid. Most sellers are unwilling to risk a complete disk scrub and reinstall. Even if they are, its doubtful that they still have (or ever had) media to do an install on a clean system. The most that the non-tech savvy will attempt is to drag the contents of 'My Documents' to the trash can icon.

    This is an opportunity for a Linux distro. Include an easy-to-use boot/nuke/install mode and offer them to people who put systems up for sale on various web sites.

    --
    Have gnu, will travel.
  15. Re:Wait... what!? by bernywork · · Score: 2, Interesting

    If the machine came in contact with this data, why the drives were even sold is beyond me. The drives should have been removed and run through a shredder / grinder.

    Any machine that contained data or could have contained such as this should have been through a more... robust... decomissioning process.

    --
    Curiosity was framed; ignorance killed the cat. -- Author unknown
  16. Re:fuck you, buyer, fuck you by timmarhy · · Score: 2, Insightful
    "You could have walked into a local branch and asked to speak to the manager, carrying the drive"

    thats a really really stupid idea. he'd have been thrown in the slammr for sure. he only had 2 options. stay quiet and tell no one at all, or go full blown public screaming from the hill tops so that there was too much public attention to risk making him disappear.

    --
    If you mod me down, I will become more powerful than you can imagine....
  17. Re:fuck you, buyer, fuck you by Anonymous Coward · · Score: 2, Insightful

    I know in the Slashdot world of spooks and big evil government everyone's out to get you and you have to play the paranoid schizophrenic... back in the real world you don't get disappeared for doing the large scale equivalent of handing in a wallet that you've bought from a guy down the pub and found to have someone else's credit cards in it.

    Really, go out a bit in the world and relax - your bank manager is a human, maybe you even know them fairly well, and definitely they'll be happy with you for reporting it: the best possible outcome is a bonus for them, and that means more love for you. The worst is that he doesn't believe your story, which is fairly easy to defend to him, his boss, the police or a court given that you have evidence that you just bought the machine on eBay and you've walked right into the bank with the offending kit.

    (Now if the documents were national security then you might want to do as this man has done. But you're fairly misguided if you think a high street bank has the power to intern you.)

  18. Re:outbid by lz2pt · · Score: 2, Funny

    Ach, don't worry..
    In a couple of weeks, as the economy slips further into the blessed state of Titzup, you'll be able to purchase the bank itself on Ebay c/w whatever assets the FatCats have left it with for a fraction of what he paid for this server alone..

  19. Re:Sometimes its better to just shut up by smashin234 · · Score: 2, Funny

    The CIA is already on their way, your tarring and feathering shall commence very soon. It took them only 2 more seconds to find you since you posted as AC.

    Put that tin foil hat on ASAP

  20. DBAN by GodfatherofSoul · · Score: 2, Informative

    Learn it, know it. A very simple utility for wiping drives that you can run as a boot disk.

    --
    I swear to God...I swear to God! That is NOT how you treat your human!
  21. Re:fuck you, buyer, fuck you by bds1986 · · Score: 2, Insightful

    Sorry, but I think my need to have companies deeply afraid of losing my confidential information outweighs your need to have cheap second hand hardware for hobby purposes. If the morons have to crush entire machines to get it right, go ahead and crush them.

  22. Defending the indefensible? by jtcedinburgh · · Score: 4, Informative

    OK, I have to pipe up on this one.

    I've previously worked a few freelance tech gigs at RBS and the one thing I can say with certainty is that their internal security is extremely tight. Tighter than anywhere else I've worked in my time. The fact that anything gets done, EVER, is a minor miracle in the face of the mountain of red-tape, security, bureaucracy and general faffing with sign-offs and corporate governance that is needed to do pretty much anything.

    So, I'm going to pipe up on behalf of RBS, your honour... :-)

    Thing is, one thing I categorically don't believe is that the responsibility for handling customer data like this would fall to one individual without direct accountability. Knowing RBS, there would be forms to fill in, checks made, audits done and any handling of customer data would need to be signed off at a high level, and would be entirely traceable. Which is to say that if there's a breach, I don't think it's likely to be a break-down in procedure.

    Now, you might laugh about this, but I know how many hoops I had to jump through to get things like dev rights on a developer box ("so, let me get this straight, sir, why do you need to be able to write to the C: drive?" - that sort of dumb thing) so I really doubt that a half-wit in marketing or HR or whatever would be entrusted with such data. It is kept under lock and key and it would certainly be VERY UNUSUAL to be allowed to make a cd copy of customer data. To do so would require sign off from Very Senior Management (at Director level), and hence visibility at EVERY STAGE and accountability for EVERY ACTION would be enforced with *GREAT RIGOUR*...

    So my money is that this isn't what it at first appears to be - it could be the case that this is something else and the press have got the wrong end of the stick.

    Or maybe I'm wrong. Often am, you know... ;-)

    1. Re:Defending the indefensible? by rapiddescent · · Score: 5, Informative

      as another tech contractor who has worked in the past at 113DS, FR and GF - I know what you mean about getting dev access or access to one of the gigantic machine rooms. I would say that RBS core systems and its brands (natwest, coutts, Ulster(s)) are extremely secure to the point of not being able to do any work. Even the due process to make a change to a production system is amazing with full-time boards spending all day evaluating every change.

      from what I read on finextra.com, it looks like this box was owned by a supplier firm and subsequently was stolen by an employee of the supplier firm and sold on ebay. Also, the box had not been used since 2005 - perhaps an old server in the cupboard (of the supplier Graphic data) that an employee thought they could sell on ebay. I am struggling to see how this would have happened as a badged RBS server at one of the EDI datacentres. They run a tight ship.

      one thing for sure, Graphic Data can kiss goodbye to their contract with RBS - one thing I know abut RBS is that they are very worried about security breaches - especially public ones like this.

  23. Re:fuck you, buyer, fuck you by jeremyp · · Score: 2, Insightful

    To be honest, I don't care about your need to buy second hand hardware on eBay cheaply, but I do care about my bank's incompetence at keeping its data secure (I'm a customer of Nat West, possibly soon to be ex customer). If this man had tried either of your suggestions, I would never have known about their stupidity.

    You really do need to get a sense of perspective.

    --
    All I want is a secure system where it's easy to do anything I want. Is that too much to ask ~~ Randall Munroe
  24. Re:If he's REALLY Lucky, he could die conveniently by dintech · · Score: 4, Funny

    Yes and it's still being covered up today. That's why we've modded you -1. :)